Rises in commercial, residential and government projects keep orders flowing for construction firms.

Construction activity continues to rise steadily, with workloads in Wales staging a huge rebound in the third quarter to end a run of two previous quarters where workloads ran into negative territory, according to the latest construction survey from RICS (the Royal Institution of Chartered Surveyors).

There were large increases in activity across the board with private commercial showing the largest increase and every sector now above its long run average.

Across the UK, housing workloads showed the largest rise in 15 months, while private commercial market activity continues to rise, though not as quickly as seen last year as business demand for commercial property has slowed.

Work commissioned by the public sector is rising modestly but at a slower pace than last year, though government investment funding is predicted to keep growing.

The turnaround in Wales extends to surveyor expectations for workloads, which were greatly improved over both three and 12-month periods. Surveyors were also much more positive about employment and profits.

Confidence in the outlook for workloads over the next year is also high across the UK, following August?s interest rate cut.

Cathy McLean, director of RICS Wales said: ?Housing activity has rebounded from a slowdown earlier in the year as stable demand has raised confidence.

?The construction industry continues to see steady growth despite a wider economic slowdown. The lack of marked volatility in the economy has helped businesses plan ahead and kept activity rising.

?Looking ahead, further rises in government spending will support workloads while some support will also come from the Olympics in London in 2012.?

John Peel of JO Peel & Associates said: ?Work is now beginning on lottery and European funded developments; also local government funding has been provided for the refurbishment of housing.?

Neil Taylor of ChandlerKBS said: ?The utility sector remains buoyant with water, gas and nuclear work very busy. Staff recruitment is perceived as a potential barrier to growth in busy sectors.?

Alun Williams of Symonds Group Ltd said: ?The market is currently busy with work in the education sector. Lack of funding appears to be slowing down the flow of work from Health Trusts.?